Tag Archives: Mining Area C

Babylon wins year-long extension at BHP Mining Area C

Babylon Pump & Power Limited says it has secured an extension of an existing power generation contract with BHP’s iron ore division in Western Australia.

The extension is tied to a contract the Australia-listed firm secured back in July 2018 through ADENCO Water Management & Civil Engineering. This saw Babylon supply, install and maintain power generation equipment for the Surplus Water Pipeline project at BHP’s Mining Area C project in Western Australia.

Babylon says it has since supplied and installed this equipment on site and will continue to maintain it for the project.

BHP is in the process of extending its Mining Area C through the development of the South Flank iron ore project, which is due to start up in 2021. It will be one of the largest iron ore processing hubs in the world, with an 80 Mt/y crushing and screening plant, an overland conveyor system and rail-loading facilities.

Babylon’s extension contract will run for a term of 52 weeks and is expected to contribute circa-A$1.1 million ($663,893) over that period, the company said.

Mondelphous strengthens BHP ties in Western Australia

Monadelphous Group has secured a number of contracts across Western Australia with BHP as part of a package of construction and maintenance agreements worth circa-A$110 million ($75 million).

The news comes on top of existing maintenance and other contracts the company has previously secured with the major mining company.

These include a contract at the BHP-owned Mining Area C iron ore mine site in the Pilbara, where Monadelphous will provide upgrades to existing conveyer equipment, and power switching and stackers. Work is expected to be completed in the September quarter of 2020.

The engineering firm has also won a contract for the provision of services associated with the demolition and rehabilitation of a number of end-of-life facilities at Nelson Point in Port Hedland. This contract is expected to commence in January 2020 and will be completed in the September quarter of 2020.

Monadelphous will also carry out a 12-month extension to its existing contract with BHP’s Nickel West division for the provision of maintenance, shutdowns and off-site repair services at the Kalgoorlie nickel smelter.

Lastly with BHP, the company has been awarded a contract with thyssenkrupp Industrial Solutions (Australia) for the construction of a reclaimer and two stackers at BHP’s South Flank project in the Pilbara. thyssenkrupp has previously said these will be the largest rail mounted stacker/reclaimers in the world, with a loading capacity of 20,000 t/h.

Monadelphous’ work is expected to be completed in the March quarter of 2021.

In Queensland, meanwhile, the ASX-listed company has secured a three-year contract for the provision of general mechanical and maintenance services as part of Incitec Pivot’s scheduled turnarounds for its Queensland manufacturing facilities, it said.

Mammoet keeps BHP South Flank iron ore project moving forward

Mammoet is doing its bit to ensure BHP hits its 2021 first production goal at the South Flank iron ore project, in the Pilbara of Western Australia, having started transporting the first heavy components for the under-construction mine.

Around 1,900 items including prefabricated and modular mine processing plant units of various sizes will be transported from Port Hedland to the new mine site, 340 km away, Mammoet said.

The $3.6 billion South Flank project, around 8 km south of BHP’s existing Mining Area C operation, will replace production from BHP’s Yandi mine, which is nearing the end of its life. The investment into the new mine site will ensure the continued production of high-quality iron ore for more than 25 years, according to BHP.

Once complete, South Flank will be one of Western Australia’s largest iron ore processing facilities. As mentioned, production is expected to start in 2021.

Mammoet has existing operational branches in Port Hedland and Karratha, meaning it is equipped to provide localised support for the South Flank project.

Among other heavy haulage equipment on site, Mammoet has 96 axle lines of SPMT located in the port and the mine site, as well as 178 axle lines of conventional trailers with 14 prime movers. The company says it has approached the large-scale logistics project with detailed planning to coordinate the thousands of components that are arriving at the port over 14 shipments and ensure they are delivered to site safely and on time.

BHP extends FIFO agreement with Alliance in Western Australia

Alliance Aviation Services says it and BHP’s Western Australia Iron Ore division have agreed to extend their air charter services agreement for a further two years.

The extension solidifies a relationship that started with the first flight for BHP WA Iron Ore in 2009, Alliance said.

BHP’s WAIO division is an integrated system of four processing hubs and five mines connected by more than 1,000 km of rail infrastructure and port facilities in the Pilbara region of northern Western Australia. At each processing hub – Newman, Yandi, Mining Area C and Jimblebar – the ore is crushed, beneficiated (where necessary) and blended to create high-grade hematite lump and fines products. Iron ore products are then transported along the Port Hedland–Newman Rail Line to the Finucane Island and Nelson Point port facilities at Port Hedland.

Lee Schofield, Alliance’s Chief Executive Officer, said: “Alliance is delighted to be continuing the provision of these charter services into Coondewanna and Barimunya. Our commitment to safety and providing our clients with industry leading on time performance has played a significant role in being awarded this extension.”

Schofield, added: “In May this year, BHP acknowledged Alliance’s exceptional safety and operational record when BHP presented Alliance with an Aviation Safety Award in recognition of the safe carriage of 3.5 million BHP staff and contractors on charter and scheduled services throughout Australia from April 2002 to April 2019.”

WA government, EPA approves BHP’s strategic 50- to 100-year Pilbara mining plan

The Western Australia Government has approved a 50- to 100-year strategic mining proposal for the Pilbara by BHP, which outlines bold plans for new and existing mines, the state said.

BHP’s Pilbara Expansion Strategic Proposal details a cumulative picture of the miner’s planned and potential operations across the Pilbara, including mining operations, rail, storage areas, dams and associated mine infrastructure.

It mentioned new potential mining operations at Caramulla, Coondiner, Gurinbiddy, Jinidi, Marillana, Mindy, Ministers North, Mudlark, Munjina/Upper Marillana, Ophthalmia/Prairie Down, Rocklea, Roy Hill and Tandanya; alongside future expansions of existing mining operations at Jimblebar, Mining Area C, Newman and Yandi (pictured).

This type of “strategic proposal”, which the Environmental Protection Authority (EPA) has approved with conditions, “helps reduce red and green tape, allowing the EPA to consider the cumulative impacts of future proposals, rather than assessing impacts on a case-by-case basis, as individual mines or developments are proposed”, according to the government.

The EPA assessed the impacts to flora and vegetation, fauna, water quality and quantity, air quality as well as social surrounds, with the ministerial statement for BHP’s strategic proposal including conditions that may be applied to each development, including environmental management plans, a cultural heritage management plan, a mine closure plan and offsets through contributions to the Pilbara Environmental Offsets Fund where significant residual impacts remain.

“BHP is required to refer future individual proposals outlined in the ministerial statement to the EPA to determine if they meet the high environmental standards set by the strategic assessment,” the government said.

WA Premier, Mark McGowan, said BHP’s plan has the potential to deliver tens of thousands of jobs for Western Australians.

“We expect this Australian-first plan will reduce environmental approval times by up to 50%, while maintaining the highest environmental standards,” he said.

“Industry has been crying out for this type of plan. It recognises the need to reduce unnecessary ‘green tape’ to increase investor confidence, and pave the way for more jobs. It is another sign our economy is improving with the major miner taking a long-term view of its proposals in the state.”

Environment Minister, Stephen Dawson, meanwhile, said: “The Pilbara region holds immense environmental value and a key focus of the EPA assessment was to ensure the proposal did not significantly impact on important regional environmental values, including Karijini National Park and Fortescue Marsh.

“Strategic proposals allow the EPA to take a bigger picture view of the potential environmental impacts the proposals may have, considering the cumulative impacts rather than on a case-by-case basis, as individual mines or developments are proposed.”

BHP grants Decmil extension to Mulla Mulla camp contract

Decmil Group’s wholly-owned subsidiary, Decmil Australia, has been awarded an extension to its contract with BHP at the Mulla Mulla camp in Western Australia.

The works, which upgrade and expand the existing Mulla Mulla village, will support current operations at Mining Area C and the South Flank iron ore project, the latter of which is currently in execution.

The extension adds to the A$13 million ($9.5 million) early works package announced in August 2017 and the A$75 million stage one package announced in November 2017.

The second stage includes the refurbishment, relocation and installation of a further 632 rooms, the installation of 10 laundries and the supply and installation of new verandas. The scope also includes internal roads, drainage and concrete footpaths. The works on the second stage will commence immediately.

The 80 Mt/y South Flank iron ore project is aimed at sustaining BHP’s Western Australia iron ore production as the Yandi mine is exhausted over the next five to ten years. The South Flank deposit is around 130 km by road northwest of the town of Newman, and approximately 8 km to the south of the company’s existing Mining Area C operation.

BHP commenced its first blast at the project in September and expects first ore extraction to take place in 2021.

Monadelphous wins more iron ore work off BHP

Australia-based engineering group Monadelphous has been awarded a contract with BHP’s iron ore division worth approximately A$240 million ($172 million) over a three-year period.

The contract, which contains an additional two one-year extension options, involves the provision of general maintenance services at BHP’s Mt Whaleback, Jimblebar, Eastern Ridge, Mining Area C and Yandi mine sites, in the Pilbara of Western Australia.

Monadelphous Managing Director, Rob Velletri said the contract built on the company’s long-standing relationship with BHP, on both construction and maintenance projects, over the past two decades.

“We look forward to further developing our relationship with BHP over the coming years, growing our operational footprint in the Pilbara and continuing to strengthen our long-term commitment to the region and the communities in which we operate,” he said.

In 1996, Monadelphous’ engineering and construction division ventured into the iron ore market with BHP on the Yandi II project to construct the crushing and screening plant, while, in 2008, it secured part of the structural, mechanical and piping works for BHP’s Rapid Growth Project 4 at the Newman Hub iron ore processing facility.

Babylon powers up at BHP’s Mining Area C operation

Australia-listed Babylon Pump & Power is about to mobilise its power generation team to BHP’s Mining Area C iron ore operation in Western Australia after securing a contract through ADENCO Water Management & Civil Engineering.

Under the contract, Babylon will supply, install and maintain power generation equipment for the Surplus Water Pipeline project at Mining Area C. ADENCO was awarded a contract to supply all labour, plant, materials, transport, equipment, supervision and project management to complete the project and has contracted the power generation part out to Babylon.

Babylon’s work is due to start immediately, with commissioning scheduled for September.

The contract will run for a minimum term of 52 weeks and is expected to book Babylon some A$1.1 million in revenue in its 2019 financial year.

Babylon said: “The significant contract is an endorsement of the company’s strategy in positioning Babylon as a key provider of specialty equipment rental and resource equipment maintenance services.”

The scope of the Surplus Water Pipeline project, according to ADENCO (whose work is pictured above), includes the supply and site installation of the mechanical, electrical and civil works. The main components are:

  • 35km of HDPE pipe ranging from DN710 to DN315, with a significant proportion to be buried
  • Inpit and expit bore pumps, diesel generation sets and headworks, including two inpit, trailer-mounted dewatering units
  • Two new electrically-driven transfer pump stations and associated concrete/civil works
  • Two diesel-driven transfer pumps with solar powered control panels
  • Two large water storage tanks and associated concrete/civil works
  • A number of managed aquifer recharge bores with solar powered control panels
  • A range of HDPE and steel fittings and assemblies
  • All associated air release, isolation and non-return valves
  • Several detailed civil structures and below-ground works
  • All associated civil and concrete works, including land clearing, trenching, backfilling and compaction.

BHP is in the process of extending its Mining Area C through the development of the South Flank iron ore project.